Navigating the FedEx Contractor Model with Amy + Dave Byers — Transcript
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- 0:27[Music]
- 0:29We are back in the studio with Dave and
- 0:32Amy Buyers. And this time we're going to
- 0:34talk a little bit about something that I
- 0:36think people don't always get right or
- 0:37don't always understand properly when
- 0:39they see this space for the first time
- 0:40or even if they've been in it for 10, 20
- 0:42years. So I want to talk a little bit
- 0:43about the contractor model and how we
- 0:45actually relate to FedEx. So you're an
- 0:48independent service provider, an ISP
- 0:50with FedEx or a transportation service
- 0:53provider, a TSP. What does that even
- 0:55mean when you're talking about who you
- 0:57are when you relate to FedEx? What do
- 0:59you think of FedEx as in this model? So
- 1:01for us, FedEx is the customer. Okay.
- 1:03100% customer. Um we are a vendor. We
- 1:06carry a vendor badge. Our employees
- 1:08carry vendors vendor badges. They are
- 1:10employees of Slicker Trucking. Um so
- 1:12there is an armslength relationship. And
- 1:15what that arms length is is the ISP or
- 1:19TSP agreement that we sign. That's the
- 1:22the distance between our customer and
- 1:25our employees. That's the separation.
- 1:27And I think that um independent service
- 1:30provider agreement ISPA is PND and TSPA
- 1:34is line hall and we are both um so we
- 1:37have to follow all the rules and they're
- 1:39different um in each in each sandbox if
- 1:42you will. Yeah. And you know we call
- 1:45them contractors. you know, how back
- 1:48when the model was IC, when it was
- 1:51actually just an independent contractor,
- 1:53how do you think about what today is
- 1:54versus what that was? You know, what's
- 1:56the change there in the model and what
- 1:59you are as actual relationship to FedEx?
- 2:02I I would think back in the back in the
- 2:05day, it was focused more on just a
- 2:07single van contractor model. There was
- 2:09there were so many of us and that's kind
- 2:11of what it was focused on. But over
- 2:12time, it's evolved into more of a
- 2:15multivan contract. And now we truly run
- 2:18it as a business. We have HR support. We
- 2:21have payroll. We have payroll taxes and
- 2:24benefits and 401ks and and we've never
- 2:27had that. We didn't have that back in
- 2:29the day. It wasn't even it wasn't even
- 2:30brought up. So now we we actually run it
- 2:32as a as a true corporation. Yeah. And I
- 2:35think from the FedEx standpoint is I
- 2:37don't think that the contract has really
- 2:39changed all that much. Um but our
- 2:41expectations that are in the contract
- 2:43have obviously grown quite a bit.
- 2:45Compliance, audit, um just you know
- 2:49regulations, uh guidelines and things
- 2:51like that that are built in the contract
- 2:53now, but the relationship really hasn't
- 2:55changed a ton. Um it's still that
- 2:57buffer. Uh but I think that it does get
- 2:59muddy. Um you know that FedEx is asking
- 3:02me to do this or FedEx is asking me to
- 3:03do that or a customer wants us to do
- 3:05this. Um and at the end of the day it's
- 3:07not. Uh it is in fact whether you're an
- 3:10ISPA or a TSPA and you've signed those
- 3:12agreements um or if you're an ISP TSP
- 3:15and signed those agreements. Um I think
- 3:17the big thing is that those are
- 3:19guidelines that you've signed. If you
- 3:21read it, you should read it. Um I have
- 3:24one with me almost all the time. If we
- 3:26travel, we have it with us. Um I have
- 3:28them printed out uh at my desk so I can
- 3:31reference it quite a bit. Um, I'm very
- 3:33much always in safety, safety and driver
- 3:35qualifications because that's kind of my
- 3:37bubble. Um, and the managers and and
- 3:40Dave are constantly asking me questions
- 3:42about what section of the contract
- 3:43that's in and what does it say? How do I
- 3:45treat this? Um, but it's never um, well,
- 3:48FedEx wants us to do this or FedEx
- 3:50terminated my guy or FedEx DQed my guy.
- 3:52Well, that that happens, but it's not.
- 3:55Um, you signed an agreement that held
- 3:57you to an end result based on what
- 4:00you've agreed to. So at the end of the
- 4:02day, yes, FedEx had you sign the
- 4:04contract, but you signed it. Um, so now
- 4:06these are things that you have to adopt
- 4:08and put into your business. So the
- 4:11relationship with your HR team and your
- 4:14references need to be between Slickers,
- 4:17ISPA, and the employee. Uh, and that one
- 4:20does get, like I said, it gets super
- 4:22muddy because what do we do? We service
- 4:24FedEx. Um, and it just it gets blurry.
- 4:27Um so I think um understanding that I I
- 4:29always talk about you know stay in your
- 4:31lane or know your role or you know we
- 4:33can use all these like fun things but at
- 4:34the end of the day it's very easy to
- 4:36manage when you take that understanding
- 4:40not easy to manage all the things but
- 4:42easy to understand um a better
- 4:45understanding of who we are in the
- 4:47network gives you a better understanding
- 4:49of how to manage your business and
- 4:52that's I think the easy part of just
- 4:54stop looking at it one way and and
- 4:56really manage it as your own. The cool
- 4:59part about it is they do let you manage
- 5:00your own business. Right, wrong, or
- 5:02other, it's yours to manage. They don't
- 5:04want to manage it. Um, so, but they're
- 5:06giving you the guidelines. You've signed
- 5:07the contract. You stepped into the
- 5:09sandbox with all the tools and all the
- 5:10things that you have to do. Um, and now
- 5:13you have to execute per the agreement
- 5:15that you signed. Um, so nothing's
- 5:18forced, nothing's, you know, kind of
- 5:21mandated outside of what's mandated in
- 5:23the contract, which again, you agreed
- 5:24to. So, I think it's that relationship
- 5:27between are they a partner, are they a
- 5:29vendor, you know, are we a vendor, are
- 5:31they a customer, and what that looks
- 5:32like. I don't think necessarily the
- 5:34contract has changed a ton. Um,
- 5:37expectations of when Dave was one guy.
- 5:40It's just the things that are now
- 5:41expected of us have grown quite a bit.
- 5:43And then, you know, little things of how
- 5:45we pay people. You're obviously not 1099
- 5:47anymore. And there's some protections.
- 5:49Um, but I really don't think being the
- 5:51compliance girl, right? the one in the
- 5:53office that's kind of putting the HR
- 5:55things together. I don't think there's
- 5:57one in there that I would say, "Well,
- 5:58that's just that's just dumb, right?"
- 6:00Like, there's things that you have to
- 6:01do. And at the end of the day, when we
- 6:03lean in, it it's made our company
- 6:05better. Uh, but you're not dealing with
- 6:08a mom and pop anymore, right? You're
- 6:10dealing with a company that is a full
- 6:12organization. Um, and we need to
- 6:13communicate like a full organization,
- 6:15and you need to run your business like a
- 6:16full organization and read the contract
- 6:18and know what you've signed up for.
- 6:20Yeah. So, maybe more loosey
- 6:23goosey, hey, where the packages, you
- 6:26know, maybe when Dave was one guy, one
- 6:28truck, those compliances and checkpoints
- 6:30weren't there. Um, but they've, you
- 6:32know, but every year you have a clear
- 6:34opportunity to sign or not sign. Um, so
- 6:37you're walking into that, like I said,
- 6:38you're kind of jumping in the sandbox
- 6:40with both feet. Um, so I think that's a
- 6:42a big difference. Um, yeah. And and
- 6:45really understanding FedEx as your
- 6:47customer, like you said, not your
- 6:48partner. They're not your business
- 6:49partner. They're not your employer. Uh
- 6:52so how do you see people getting that
- 6:54wrong? Like what what are the the
- 6:55problems that could come from not
- 6:57properly understanding what the
- 6:59relationship really is between you and
- 7:00FedEx? Um so I think if you are in the
- 7:03transportation industry and you just
- 7:04think of a example outside, right?
- 7:06You're ABC trucking and you're going to
- 7:08go for bid, right? And Josh owns this
- 7:10company and I want to service your
- 7:12contract and I win the bid. Um that's
- 7:15the same relationship, right? like you
- 7:17have the opportunity to to service that
- 7:20customer. So I would see you and your
- 7:22company as a customer. I wouldn't see
- 7:24you even if we're friends or even if
- 7:25we're friendly. You there's a line where
- 7:28I've agreed to provide services to you
- 7:31and you are my customer. And I think
- 7:33that line gets blurred. Um whether it's
- 7:36interpretation at the terminal level. I
- 7:37think that has a lot to do it of how
- 7:39terminal managers or local managers
- 7:42treat the staff and the demands that
- 7:43they make instead of presenting them
- 7:46with the issue and allowing us to
- 7:48problem solve it based on what's in our
- 7:49contract. So I think that makes it a
- 7:51little bit muddy. Um but again, not bad.
- 7:53They're trying to help. They're trying
- 7:55to relate and communicate. And I think
- 7:58um you know Dave always says like you've
- 8:00never been in a truck, you've never even
- 8:01gone on a ride along. How do you know
- 8:02what we do? Um so those are some some
- 8:04hard things um to have the the
- 8:06relationship. But I think over almost 20
- 8:08years, Dave's earned 25 because we
- 8:12actually know people from Columbus when
- 8:13Dave was a package handler that are now
- 8:15running terminals up north um where we
- 8:18service. Uh but I think um having those
- 8:21relationships whether you consider
- 8:22yourself friendly or you know co-workers
- 8:25or whatever that looks like your
- 8:27colleagues in this in this industry that
- 8:30you're playing in the sandbox with right
- 8:32at the end of the day they are our
- 8:34customer. Um, so the answer that Dave
- 8:36pushes forward is always say yes, right?
- 8:38We're gonna we're gonna make it go away.
- 8:40We're going to fix it. We're going to do
- 8:41it. We'll make it happen. We'll cover
- 8:43it. Um, no different than if you went to
- 8:45a restaurant and you wanted your food
- 8:48cooked the right way or every customer
- 8:50vendor relationship has expectations.
- 8:53Um, and this one is, you know, very
- 8:56complex. It's gotten much more complex
- 8:57over the years, but that I think is
- 8:59where that fuzzy or muddy, you know,
- 9:02relationship. Um and some terminal
- 9:04managers keep it very black and white
- 9:06like this is you know we are your
- 9:08customer and some you forge
- 9:10relationships with. Um but at the end of
- 9:13the day the contract is going to hold
- 9:14you um you know to disqualifications and
- 9:17requirements and hiring requirements and
- 9:20truck requirements and timelines and
- 9:22service and all the things. Everything
- 9:24is in that contract. It is. It's a
- 9:26wealth of information and I think when
- 9:28you jump in there's really only two or
- 9:30three sections that you need to put your
- 9:32nose in. Everything else is you know
- 9:34leases and you know very very simple um
- 9:37you know documents that are you know
- 9:39more um black and white but the ones
- 9:41that are to be left to interpretation I
- 9:44think um are the ones that and those are
- 9:47the ones that we take a little bit
- 9:48harder um because as contractors we do
- 9:50wear our contract on our sleeves, right?
- 9:53We're super proud of what we do. Um,
- 9:56we're very passionate about our
- 9:58employees and and what we do and how we
- 10:00do it. So, when it's a contract level,
- 10:04no, no, or a contract level, it's well,
- 10:06FedEx is making me do this or the
- 10:08customers asking me. No, no, it's it's
- 10:10it's in schedule I or it's in schedule,
- 10:13you know, it's in the schedule. So, you
- 10:14have to read it. Um, and you have to
- 10:16know it and and beholden to it and
- 10:18really um, you know, service that
- 10:20contract because whether they looked it
- 10:22over the other other time or you didn't
- 10:24do it, you want to make sure that you're
- 10:25you're operating to the letter of the
- 10:28contract. And once you embrace that, it
- 10:30becomes a lot easier to be an ISPA or
- 10:33any ISP and a TSP because you know what
- 10:36the rules are. You know, when you got
- 10:37into the sandbox, what you're being held
- 10:39to instead of saying like, "How did this
- 10:41happen?" You're like, "Well, it's in
- 10:426.4. You just weren't looking." you
- 10:44know, it's not fine print. It's there
- 10:47for you to review. So, I think that's
- 10:49the and if you lean in and embrace it,
- 10:51it becomes a much richer relationship
- 10:54with your customer that provides growth
- 10:56opportunity and a little bit of
- 10:59forgiveness and a little bit of, you
- 11:00know, conversation even um to when you
- 11:03have those bad days, you can call and
- 11:05Dave has a good relationship. He's like,
- 11:06"Hey, man. I I get it. Like, tough day.
- 11:08Guy walked out or guy got sick or guy
- 11:10had to leave and we're going to do our
- 11:12best, but we'll catch up tomorrow. we
- 11:13have a plan. Um, and I think that's um,
- 11:16he's become very respected in that way.
- 11:18Uh, so I think that's the important
- 11:20piece of that customer relationship is
- 11:22rel realizing, you know, any other
- 11:25trucking industry, you go for bid. You
- 11:27have all these trucks and you need a new
- 11:28contract. Uh, you're one of five or six
- 11:31that are bidding on it. Um, and the
- 11:32ability that FedEx gives us to
- 11:34renegotiate without going out for bid is
- 11:37actually a really fantastic privilege
- 11:39and benefit of, you know, as long as
- 11:41you're doing the right things. Yeah.
- 11:43there's that. But it I mean it is like
- 11:45when you're going out for bid, your goal
- 11:46is to know what they expect and to fight
- 11:48to maintain a high level of customer
- 11:50service so that they continue to come
- 11:52back to you or may choose you in the
- 11:53future. And it's the same here except
- 11:55for like you said, we get the benefit of
- 11:58having, you know, we have the rights to
- 12:00this this lane or these zip codes and
- 12:03it's just that they have laid out in a
- 12:06contract the things that they are
- 12:07expecting of you and we have signed that
- 12:08contract. But at the same time, I do
- 12:11think it what you're saying is correct
- 12:13that it's it's a mental shift to a
- 12:15certain extent of understanding how this
- 12:16is and embracing it because it can be
- 12:18hard to just, you know, feel like this
- 12:21person, especially when you're talking
- 12:22about a terminal manager, one person.
- 12:24Yeah. That that you see often, maybe not
- 12:26every day, but often. And you're like,
- 12:29that is the problem is my relationship
- 12:30to him. But ultimately, it is this
- 12:33person's a tough terminal manager. They
- 12:35won't let me do this and this. And the
- 12:37other good thing is I think um Dave as
- 12:39you've mentioned a lot of times is they
- 12:40give you a ton of chances, right? Like
- 12:43they give you the tools whether
- 12:44sometimes they're not 100% transparent
- 12:46or maybe they are, but they give you
- 12:48Spotlight, they give you the DSW, they
- 12:50give you FCC, they give you access to
- 12:53what's going on in your business. And
- 12:55then you add in amazing technology like
- 12:58Groundcloud or, you know, some of these
- 13:00other, you know, Truck Spy or whatever
- 13:02these monitoring, you know, whatever
- 13:03you're in. Um, you know, there's from
- 13:07ground cloud to my ground force to what
- 13:09I mean there's a thousand of them,
- 13:10right? That that are there to help you.
- 13:11Tire savers, RCPA with field cards. You
- 13:14have all the tools to run your business
- 13:16and to manage it. So, when you're not
- 13:19doing great, it shouldn't be a surprise,
- 13:21right? You've stepped outside the
- 13:23sandbox, right? You've broken some rules
- 13:25or you're missing the mark on some
- 13:27things. Um, so I think that's the key is
- 13:30to get ahead of it. Uh, but nothing
- 13:32should be a surprise. If you know your
- 13:33contract and you know who you are, know
- 13:35your role, then nothing should be a
- 13:37surprise. And FedEx is fairly forgiving
- 13:40on some things. Some things they just
- 13:42can't move the needle. Um, when it comes
- 13:44to disqualifications and integrity and
- 13:45things like that, there are some hard
- 13:46lines. You should know those things. But
- 13:49as far as, you know, the opportunity to
- 13:50cure, curative letters, letters of
- 13:52intent, um, or letter of asurances,
- 13:54things like that, like those are things
- 13:56that if I were doing business with Josh,
- 13:58Josh would be like, "Yeah, I'm going to
- 13:59go with that guy cuz that was a little
- 14:00bit of a problem last year." Um, and
- 14:02FedEx is not like that. Our customer
- 14:04wants us to be here. Um, even though
- 14:06sometimes it gets super bumpy, but
- 14:08they're very transparent about what that
- 14:11relationship has looked like over the
- 14:12past year. Yeah. So, we talked some
- 14:17about how that impacts, you know, your
- 14:19relationship with the actual customer.
- 14:20How does that dictate your relationship
- 14:22to your actual employees? How do you
- 14:24inform how you like have to actually
- 14:27hold them accountable? How does it go
- 14:28into things like an employee agreement?
- 14:30How how do those things? Yeah, we just
- 14:31had that um with one of our drivers. Um
- 14:34Dave, we had a really tough
- 14:35conversation. Good guy. um just had some
- 14:38you know had some misses on signatures
- 14:40and it became a big integrity issue and
- 14:43we went back to the contract and the
- 14:45contract you know was like well the
- 14:46managers my VCs were like hey FedEx is
- 14:48DQing this guy as a Friday and I'm like
- 14:51no we should DQ him because in our
- 14:53contract it says that that's a zero
- 14:55tolerance you know that we will not
- 14:57assign services to any personnel that
- 14:59does this so um you know it's a sticking
- 15:02point with some of the things and we are
- 15:03having conversations with um our
- 15:06customer to allow us to maybe change or
- 15:08or mold maybe what that looks like going
- 15:10favor forward. So is there a depth or a
- 15:13level or um you know is there retraining
- 15:15that can be done or what does that look
- 15:17like? But right now um I read the
- 15:19contract and we had to terminate that
- 15:21employee and not because FedEx told me
- 15:23to because that's what my contract says
- 15:25I need to do. So I agreed to that and I
- 15:28had Dave and I had to have the hard
- 15:30conversation when my business actually
- 15:31says I'm going to retrain based on Ohio
- 15:34guidelines. I'm going to do all this
- 15:35stuff.
- 15:36um you know I'm going to give them an
- 15:37opportunity to fix it and you know
- 15:39disciplinary track that didn't stick
- 15:41this time. So understanding kind of what
- 15:44that relationship looks like um we are
- 15:46completely shifting our handbook. We're
- 15:48giving much more transparency to our
- 15:50employees of the zero tolerances, the
- 15:5436, you know, the 36month suspensions.
- 15:57Um even what a DUI looks like and what
- 15:59an SAP program looks like for that. So
- 16:02we're doing a little bit more
- 16:03communication. Uh but I think that's
- 16:05the, you know, that's the tough part is
- 16:07that's the agreement that he signed. I'm
- 16:09held to it. I have to hold the employees
- 16:11to it. And we have to also educate with
- 16:13our BCS so they know what to do when
- 16:16something happens. It's just like
- 16:17reporting an accident. Do you look the
- 16:18other way and hope they don't catch you?
- 16:20No, you have to lead with integrity and,
- 16:23you know, take it on the chin and report
- 16:25it when it's reported. And sometimes
- 16:26it's, you know, it's super uncomfortable
- 16:28to do the right thing. But the
- 16:30contract's there to hold you to doing
- 16:31the right thing by your customer. And I
- 16:34always say, you hear me say it all the
- 16:35time, my only customer. So I don't have
- 16:38in the trucking industry like I go out
- 16:39to bid with Josh and I go out to bid
- 16:41with these other people. I don't have
- 16:42that. FedEx is my only customer. So I
- 16:44can't screw it up, right? And you have
- 16:46to do every day you have to get up and
- 16:48and monitor those contracts and play in
- 16:50the sandbox with the rules that you've
- 16:52agreed to. So I think that's the the big
- 16:54thing. Um and again it's not hard and
- 16:57it's not icky and it's not, you know, no
- 16:59one's screwing you. I think it's just
- 17:01once you change that mindset that a
- 17:04better understanding will lead to a
- 17:06better understanding. It really does
- 17:08open you up to running your business
- 17:09better and having a more respectful and
- 17:12an open relationship with our customer
- 17:14and and I think ultimately that is
- 17:16really important for having productive
- 17:19conversations with the with the customer
- 17:21with about you know changing or at least
- 17:25being open to to modifying some of these
- 17:27policies that are grayer. So, you know,
- 17:30if you're constantly the person who is
- 17:32just bashing the customer and talking
- 17:35about how it's all their fault that they
- 17:36are, you know, the the problem in the
- 17:39network is them exclusively. Then when
- 17:41you come and you then have a problem
- 17:43that you're actually trying to resolve,
- 17:45it's difficult to have those
- 17:46conversations when they know what you're
- 17:48coming from and they haven't seen a
- 17:49bunch of open, you know, kind of
- 17:50transparent, productive conversations
- 17:52from you in the past. Whereas if your,
- 17:54you know, your baseline is, I understand
- 17:56the contract. I understand what's
- 17:58expected of me. I've signed that
- 17:59contract, but I still see some issues
- 18:01with X, Y, and Z. Here's some data.
- 18:04Here's some reasons I want to have this
- 18:05conversation. It's very different from
- 18:07the customer's perspective, and it's
- 18:09much more likely to be, you know,
- 18:10effective. Yeah. Yeah. Yes, definitely.
- 18:13um they're more open and amanable to
- 18:15having conversations when you're um
- 18:17communicating with data and fact and and
- 18:20pointing to maybe some things or
- 18:22misinterpretations in the contract. Can
- 18:23you just clarify? Um so those things
- 18:25those definitely and again when you sign
- 18:28the contract and understand that you've
- 18:29signed it right they're your rules and
- 18:31regulations even if they're fuzzy um in
- 18:34your in your mind you can ask for that
- 18:35clarity but you know it's not they're
- 18:38not just out there to to smack you
- 18:39around. Um, and I think
- 18:43other pizza shop, things like that. I
- 18:46mean, there are so many benefits to this
- 18:49network and the way that the contract um
- 18:51is written, right? We get paid every
- 18:53Friday for over, you know, almost 20
- 18:56years. The check always comes. Sometimes
- 18:58it's wrong, sometimes it's right,
- 18:59usually it's right. Uh, but they always
- 19:00fix it very quickly. Um, so I think
- 19:03that's a a plus. um when we've been in
- 19:05other consulting businesses or service
- 19:08businesses where we have to wait for the
- 19:1015-day net or a 30-day net or somebody
- 19:13pays late. Um so there's a collection
- 19:15process like that doesn't happen. Um
- 19:17with our pizza shops, we have to
- 19:20advertise, right? So there's a budget
- 19:22that we have to then pay out to get new
- 19:26customers. Well, guess what? We don't
- 19:28have to do that, right? You sign the
- 19:29contract, the boxes come. they always
- 19:31come, you know, and that's the beautiful
- 19:34thing is that it's a security, right?
- 19:36And and in if you get too far away from
- 19:39it and too much in this, you know,
- 19:41they're my partner, they're supposed to
- 19:42be treating me better, blah, blah, blah.
- 19:43And you're not leaning into what the
- 19:45relationship really looks like, you
- 19:47forget those benefits. You forget that
- 19:49you don't have, you know, any accounts
- 19:51receivables when it comes. It's there
- 19:53every Tuesday. You know, you know what
- 19:54you're getting and then on Friday there
- 19:55it hits. Um, so there's some really
- 19:58positive things. the contract
- 20:00renegotiation, the fact that I don't
- 20:01have to go out for a bit if I've been
- 20:03doing all the things the right way, um
- 20:06growth opportunities, you know, um and
- 20:08then the marketing, right? I don't have
- 20:10to do that. Come summer, hopefully FedEx
- 20:12is going to, you know, fill my funnel.
- 20:14they're going to be out there with their
- 20:16sales force and they're going to be
- 20:18leaning into new relationships and
- 20:21things to to bring us the volume so that
- 20:23we can continue to employ and and grow
- 20:26and do, you know, maintain the trucks
- 20:27and do all the things that we need to
- 20:29do. Um, so I think that's just the
- 20:31biggest, you know, understanding um, you
- 20:34know, when it comes to vendor, partner,
- 20:38friend. Yeah. Yeah. Yeah. And and you
- 20:41know there's all kinds of things to
- 20:42understand about this model and and I
- 20:44don't want to discount and say that
- 20:45people won't struggle you know that it's
- 20:47that it's not like there are things that
- 20:49happen in the model there are things
- 20:50that happen in this business where you
- 20:51you will struggle there there are
- 20:53entrepreneurs that will struggle and
- 20:54will not succeed in this business but
- 20:57most small businesses fail you know most
- 21:00of them do and they most of them fail
- 21:01quickly and you think about this I see
- 21:03people come in all the time that you
- 21:05know they get into this business and
- 21:06they last for 10 20 years it's it's a
- 21:08really strong model for a way to be an
- 21:10entrepor reneur with a lot of security
- 21:12compared to just about anything else
- 21:13that you jump into. So, there are pros
- 21:15and cons. There's things to understand
- 21:17about the model, your relationship to
- 21:19FedEx, and you should go in eyes wide
- 21:21open because you're signing that
- 21:22contract almost day one. Yeah. So, make
- 21:24sure you know it. But at the same time,
- 21:26just like you're saying, I think it's
- 21:27really important to understand how that
- 21:29model impacts you, but also the benefits
- 21:30that come from that type of model. Yeah.
- 21:32And there and there are ways. I know the
- 21:33the big, you know, kind of elephant in
- 21:35the room when we talk about the contract
- 21:36is the financial piece. Um where people
- 21:39are are struggling. Um there's there's
- 21:42plenty of opportunities along the way to
- 21:44provide hard facts and data. Um and if
- 21:46you're not getting that conversation
- 21:49opened with your local team, there's
- 21:51ways to escalate and there's ways to
- 21:53escalate. There's always someone that's
- 21:54willing to listen. Um whether that's,
- 21:57you know, something that you're you're
- 21:58doing wrong or you need to, you know,
- 22:00trim the fat or or maybe you're doing
- 22:02everything right and there's just
- 22:03something that's a miss. Uh but I think
- 22:05those are, you know, definitely things
- 22:06that you have that path to ask
- 22:08questions. You're not just stuck. I
- 22:10mean, if if I were doing business with
- 22:12Josh and his company, if I signed that
- 22:13contract and things changed, I might not
- 22:16be able to change things. Um, but there
- 22:18are things that we're stuck when, you
- 22:19know, when the economy changes, we don't
- 22:21get to say, "Okay, well, fuel's $2 more
- 22:23a gallon, so I'm going to push that on
- 22:25to you, right?" It's we have to get a
- 22:28little bit creative. So, we do
- 22:29understand we're not immune to any of
- 22:31the, you know, uncomfortable things that
- 22:34happen in trucking um or two engines go
- 22:37at the same time. That's tough, right?
- 22:39That's that's uh capital and credit card
- 22:41bills and things that cause you a lot of
- 22:43stress. But again, I think this is one
- 22:45thing that Dave and I lean into as far
- 22:48as understanding that contract and it
- 22:49really does give us a better
- 22:50understanding because even our managers
- 22:52are like, "Hey, they're doing this and
- 22:53they like, "No, no, we agree to that and
- 22:56now we have to make good on it." Yeah.
- 22:58It impacts how we operate, but we did
- 23:00agree to it. Yeah. But we did agree to
- 23:01it. Yes. It feels very icky today to let
- 23:03that driver go. But, you know, he also
- 23:05kind of should have known better. So,
- 23:08perfect. Well, I This is a topic that
- 23:10you could dig into all day. There's all
- 23:12kinds of things. So, I I appreciate you.
- 23:14I think it's it's just important to
- 23:15rightsize the thought process on what
- 23:18your role is and how you fit into the
- 23:20FedEx equation and how they are your
- 23:22customer. Yeah. Thanks, Josh. Yep.
- 23:24Thanks, guys.
- 23:26[Music]
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